Complete Closing Cost Breakdown
Now that you understand what closing costs are and why you need to budget for them, let us look at every individual cost you should plan for. This page provides typical ranges for each item so you can build an accurate estimate based on your specific situation.
The costs below are organized by category. Not every cost applies to every buyer — for example, you may not need an appraisal if your lender waives the requirement, and condo fee adjustments only apply to condo purchases. But it is better to be aware of all possible costs than to be surprised by one you overlooked. Once you have reviewed these items, try our closing cost calculator to estimate your total.
Closing Cost Summary Table
Section titled “Closing Cost Summary Table”Here is a quick reference table showing all major closing costs and their typical ranges. Detailed explanations for each item follow below.
| Closing Cost Item | Typical Range | Notes |
|---|---|---|
| Land transfer tax (provincial) | $0 - $15,000+ | Varies widely by province; Alberta and Saskatchewan have none |
| Land transfer tax (municipal) | $0 - $6,000+ | Only applies in cities with a municipal LTT (e.g., Toronto) |
| First-time buyer LTT rebate | -$4,000 to -$8,475 | Reduces or eliminates LTT for eligible first-time buyers |
| Legal fees and disbursements | $1,500 - $2,500 | Includes lawyer’s fee plus searches, registrations, couriers |
| Title insurance | $250 - $500 | One-time premium for owner’s and lender’s policies combined |
| Home appraisal | $300 - $500 | May be waived by some lenders |
| Home inspection | $400 - $600 | If not completed during the offer stage |
| Property tax adjustment | $500 - $3,000+ | Depends on timing of closing and annual tax amount |
| Utility adjustments | $50 - $500 | Covers prepaid water, sewer, or heating fuel |
| Condo fee adjustment | $0 - $600 | Prorated for month of closing; condos only |
| Moving costs | $500 - $5,000+ | DIY to full-service professional movers |
| Lock changes | $200 - $500 | Always change the locks on a new home |
| Professional cleaning | $200 - $500 | Deep clean before you move in |
| Window coverings | $500 - $3,000+ | Depends on number and size of windows |
| Appliances | $0 - $8,000 | Only if not included in the sale |
| Interest adjustment | $200 - $1,500 | Interest from closing date to first payment date |
Legal Fees and Disbursements
Section titled “Legal Fees and Disbursements”Your real estate lawyer handles the legal mechanics of transferring property ownership. Their fees cover two components:
The professional fee is what the lawyer charges for their time and expertise — reviewing the purchase agreement, conducting the title search, preparing and registering documents, calculating adjustments, and overseeing the closing process. This is typically $1,000 to $1,800.
Disbursements are the out-of-pocket costs your lawyer pays on your behalf during the transaction. These include title search fees, land registry charges, courier costs, electronic registration fees, software fees, and other administrative expenses. Disbursements typically add $300 to $700 to your total legal bill.
Combined, expect to pay $1,500 to $2,500 for legal services on a standard residential purchase. More complex transactions — such as purchases involving estate sales, multiple properties, or unusual title situations — may cost more.
Your lawyer will provide a detailed statement of account showing exactly what you are paying for. Review it carefully and ask about any charges you do not understand.
Title Insurance
Section titled “Title Insurance”Title insurance is a one-time insurance premium paid at closing that protects you and your lender against defects in the property’s title — problems that may not have been discovered during the standard title search. The cost is typically $250 to $500 depending on the property value, the insurer, and whether you are purchasing both an owner’s and a lender’s policy.
Title insurance is covered in detail in its own sub-page, but for budgeting purposes, plan for approximately $300 to $400 for a typical residential purchase.
Home Appraisal
Section titled “Home Appraisal”Your mortgage lender may require an independent appraisal to confirm that the property’s market value supports the mortgage amount they are lending you. An appraiser visits the property, assesses its condition and features, compares it to recent comparable sales, and produces a written report.
Appraisals typically cost $300 to $500 for a standard residential property. Larger properties, rural locations, or unusual property types may cost more.
Some lenders waive the appraisal requirement in certain situations — for example, if you are putting down a larger down payment (20% or more), if the property is in a well-documented urban area with ample comparable sales data, or if the lender’s automated valuation model (AVM) confirms the purchase price is reasonable. Even when an appraisal is waived, the cost savings is modest, so do not let the appraisal fee drive your lender decision.
Home Inspection
Section titled “Home Inspection”If you did not have a home inspection during the offer stage — for example, if you completed a pre-offer inspection, waived the inspection condition to compete in a hot market, or purchased a new-build home — you may still want one before closing. A standard home inspection costs $400 to $600 for a typical detached home and takes three to four hours.
Even if you waived the inspection condition as part of your offer strategy, there is nothing stopping you from having one done for your own information before closing. You cannot use the results to renegotiate the deal, but you will know what you are walking into and can plan for any repairs.
Property Tax Adjustments
Section titled “Property Tax Adjustments”Property taxes are billed by the municipality, typically on an annual or semi-annual basis. If the seller has already paid property taxes that cover a period extending beyond the closing date, you reimburse the seller for your portion.
Your lawyer calculates this adjustment automatically. Here is how it works:
- The seller paid the full year’s property taxes of $4,800.
- You close on August 1, meaning the seller has prepaid five months of taxes that cover your ownership period (August through December).
- Your adjustment: 5/12 of $4,800 = $2,000.
Conversely, if the seller has not yet paid taxes for a period they owned the property, the adjustment works in your favour — the seller credits you the amount they owe.
The property tax adjustment is one of the more variable closing costs because it depends entirely on your closing date and the municipality’s billing schedule. Ask your lawyer for an estimate once you know your closing date.
Utility Adjustments
Section titled “Utility Adjustments”Similar to property taxes, if the seller has prepaid utilities such as water, sewer, or heating fuel (especially common with oil-heated homes that have a tank), you reimburse them for any prepaid amounts that cover the period after closing.
Water and sewer adjustments are usually modest — often $50 to $200. However, if the home is heated by oil and the seller recently filled the tank, you could owe $300 to $500+ for the remaining fuel.
Your lawyer handles these calculations as part of the closing adjustments.
Moving Costs
Section titled “Moving Costs”Moving costs are often overlooked in closing cost budgets, but they can be significant. Here is what to expect:
- DIY move with a rental truck — $200 to $800 depending on the truck size and distance. Add $50 to $100 for packing supplies (boxes, tape, padding).
- Hiring two movers with a truck (local move, small home) — $800 to $1,500 for a half-day move.
- Full-service professional movers (local move, average home) — $1,500 to $3,000 including packing materials.
- Long-distance move (inter-city or inter-provincial) — $3,000 to $8,000+ depending on distance and volume.
Peak moving season runs from May through September, with month-end dates being the busiest (and most expensive). If your closing date is flexible, mid-month or mid-week closings can save you money on movers and give you more scheduling options.
Immediate Home Setup Costs
Section titled “Immediate Home Setup Costs”Budget for costs that arise in the first few weeks of ownership. These are not technically closing costs, but they happen so close to closing that they need to be part of your budget:
- Lock changes — $200 to $500. Always change the locks. You do not know who has copies of the existing keys — previous owners, their family, cleaners, contractors, neighbours, or former tenants.
- Professional cleaning — $200 to $500 for a thorough deep clean before you move furniture in. This is the easiest time to clean since the home is empty.
- Window coverings — $500 to $3,000+ depending on the number of windows. Bare windows on the first night are uncomfortable and a privacy concern.
- Appliances — If not included in the sale, a fridge, stove, washer, and dryer can cost $3,000 to $8,000 depending on the brands you choose. Check the purchase agreement to confirm what is included.
- Minor repairs — Items identified during the home inspection that you agreed to handle yourself, such as a leaky faucet, cracked caulking, or a running toilet.
- Lawn equipment or snow removal tools — $200 to $1,000 for a basic lawnmower, shovels, ice melt, and other outdoor essentials.
Interest Adjustment
Section titled “Interest Adjustment”This is a cost many first-time buyers do not know about until they see it on their lawyer’s closing statement. The interest adjustment covers the interest on your mortgage from your closing date to the end of that month (or the start of your first regular payment period).
For example, if you close on March 15 and your first mortgage payment is May 1, the interest adjustment covers the interest from March 15 to March 31. This amount is typically $200 to $1,500 depending on your mortgage amount, interest rate, and how many days the adjustment covers.
Closing at the very end of the month minimizes this cost because there are fewer days between your closing date and the start of the next payment period.